72. Tempura, Inc. is considering two projects. Project A requires an investment of $50,000. Estimated annual receipts
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72. Tempura, Inc. is considering two projects. Project A requires an investment of $50,000. Estimated annual receipts for 20 years are $20,000; estimated annual costs are $12,500. An alternative project, B, requires an investment of $75,000, has annual receipts for 20 years of $28,000 and annual costs of
$18,000. Assume both projects have a zero salvage value and that MARR is 12%/yr. Based on an external rate of return analysis, which project should be recommended?
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Related Book For 
Fundamentals Of Engineering Economic Analysis
ISBN: 9781118414705
1st Edition
Authors: John A. White, Kellie S. Grasman, Kenneth E. Case, Kim LaScola Needy, David B. Pratt
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